Latest Ratios: P/E Ratio 23.1x · EV/EBITDA 13.9x · ROE 7.7%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $3.0B | $2.6B | $2.7B | $3.0B | $3.3B | $3.7B | $2.7B | $2.5B | $2.3B | $2.2B | $1.6B |
| Enterprise Value | $4.5B | $4.1B | $4.0B | $4.1B | $4.4B | $4.7B | $3.8B | $3.4B | $3.1B | $2.9B | $2.3B |
| P/E Ratio → | 23.11 | 20.15 | 13.95 | 57.00 | 34.26 | 36.66 | 27.43 | 39.36 | 35.04 | 29.84 | 33.56 |
| P/S Ratio | 2.97 | 2.58 | 2.56 | 3.72 | 3.89 | 4.69 | 3.35 | 3.48 | 3.28 | 3.26 | 2.67 |
| P/B Ratio | 1.75 | 1.52 | 1.62 | 2.07 | 2.49 | 3.17 | 2.89 | 3.18 | 3.14 | 3.14 | 2.47 |
| P/FCF | — | — | — | — | — | — | — | — | — | — | — |
| P/OCF | 9.83 | 8.54 | 9.14 | 13.57 | 13.52 | 16.01 | 22.58 | 14.71 | 12.79 | 14.73 | 10.18 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.15 | 3.86 | 5.18 | 5.14 | 5.98 | 4.77 | 4.81 | 4.47 | 4.33 | 3.70 |
| EV / EBITDA | 13.92 | 12.73 | 11.15 | 20.56 | 17.76 | 19.84 | 15.95 | 18.03 | 15.92 | 16.68 | 15.95 |
| EV / EBIT | 24.99 | 19.42 | 13.80 | 43.61 | 29.81 | 31.90 | 25.14 | 28.18 | 26.10 | 21.79 | 21.68 |
| EV / FCF | — | — | — | — | — | — | — | — | — | — | — |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 36.7% | 36.7% | 95.4% | 45.7% | 62.7% | 61.2% | 49.3% | 47.7% | 60.3% | 60.4% | 60.1% |
| Operating Margin | 18.2% | 18.2% | 21.7% | 9.7% | 15.1% | 16.0% | 17.2% | 13.9% | 15.8% | 14.2% | 12.5% |
| Net Profit Margin | 12.8% | 12.8% | 18.4% | 6.5% | 11.3% | 12.8% | 12.2% | 8.8% | 9.4% | 10.1% | 8.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 7.7% | 7.7% | 12.4% | 3.8% | 7.7% | 9.7% | 11.4% | 8.4% | 9.2% | 9.9% | 7.5% |
| ROA | 2.4% | 2.4% | 3.9% | 1.2% | 2.5% | 2.9% | 2.9% | 2.1% | 2.4% | 2.6% | 2.1% |
| ROIC | 4.4% | 4.4% | 6.1% | 2.3% | 4.2% | 4.5% | 5.4% | 4.5% | 5.6% | 5.3% | 4.6% |
| ROCE | 3.7% | 3.7% | 5.1% | 1.9% | 3.6% | 4.1% | 4.8% | 3.7% | 4.6% | 4.3% | 3.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.95 | 0.95 | 0.85 | 0.87 | 0.86 | 0.94 | 1.27 | 1.28 | 1.21 | 1.16 | 0.99 |
| Debt / EBITDA | 4.96 | 4.96 | 3.89 | 6.23 | 4.66 | 4.61 | 4.93 | 5.23 | 4.48 | 4.66 | 4.63 |
| Net Debt / Equity | — | 0.92 | 0.82 | 0.81 | 0.80 | 0.87 | 1.22 | 1.22 | 1.14 | 1.03 | 0.95 |
| Net Debt / EBITDA | 4.80 | 4.80 | 3.75 | 5.80 | 4.31 | 4.28 | 4.74 | 5.01 | 4.24 | 4.11 | 4.45 |
| Debt / FCF | — | — | — | — | — | — | — | — | — | — | — |
| Interest Coverage | 3.20 | 3.20 | 5.04 | 1.90 | 3.29 | 3.43 | 3.60 | 2.96 | 3.16 | 3.91 | 3.41 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.85 | 0.85 | 0.60 | 0.69 | 1.00 | 1.10 | 0.45 | 0.51 | 0.59 | 0.46 | 0.57 |
| Quick Ratio | 0.85 | 0.85 | 0.56 | 0.65 | 0.96 | 1.07 | 0.44 | 0.49 | 0.57 | 0.45 | 0.54 |
| Cash Ratio | 0.12 | 0.12 | 0.09 | 0.20 | 0.29 | 0.29 | 0.08 | 0.12 | 0.15 | 0.19 | 0.10 |
| Asset Turnover | — | 0.18 | 0.20 | 0.17 | 0.21 | 0.22 | 0.23 | 0.22 | 0.25 | 0.24 | 0.25 |
| Inventory Turnover | — | — | 2.33 | 26.67 | 25.16 | 32.29 | 45.60 | 48.21 | 42.11 | 40.91 | 38.62 |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.5% | 2.9% | 2.5% | 2.0% | 1.6% | 1.3% | 1.6% | 1.5% | 1.6% | 1.6% | 2.0% |
| Payout Ratio | 57.6% | 57.6% | 34.3% | 113.7% | 56.4% | 46.9% | 43.1% | 60.2% | 55.0% | 51.4% | 68.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 4.3% | 5.0% | 7.2% | 1.8% | 2.9% | 2.7% | 3.6% | 2.5% | 2.9% | 3.4% | 3.0% |
| FCF Yield | — | — | — | — | — | — | — | — | — | — | — |
| Buyback Yield | 0.0% | 0.1% | 0.1% | 0.1% | 0.1% | 0.0% | 0.1% | 0.1% | 0.1% | 0.1% | 0.0% |
| Total Shareholder Yield | 2.5% | 2.9% | 2.5% | 2.1% | 1.7% | 1.3% | 1.6% | 1.6% | 1.6% | 1.7% | 2.1% |
| Shares Outstanding | — | $60M | $59M | $57M | $54M | $52M | $49M | $48M | $48M | $48M | $48M |
Regulatory lag and capital intensity
According to current market data, CWT trades at a TTM P/E of 22.83, which appears to reflect a premium valuation relative to its recent earnings volatility, suggesting that investors are pricing in long-term rate base growth rather than the immediate, strained profitability observed in recent quarterly filings.
The forward P/E of 18.88 indicates that the market anticipates a recovery in earnings, likely tied to the resolution of pending rate cases. However, the dividend yield of 2.5% remains modest for a utility, suggesting that the stock is currently valued more as a growth-oriented infrastructure play than a traditional income-generating bond proxy.
As reported in quarterly financial statements, the earned ROE has fluctuated significantly, dropping to a nominal 0.2% in 2026Q1, which suggests that the company is currently failing to achieve its authorized returns due to the persistent impact of regulatory lag and rising operational costs.
The wide variance between the 4.8% peak in 2024Q1 and the recent lows indicates that CWT's profitability is highly sensitive to the timing of CPUC rate adjustments. This inconsistency warrants further investigation into whether the current regulatory framework is sufficient to compensate for the company's aggressive capital expenditure program.
Based on the provided balance sheet data, the debt-to-capital ratio of 0.49 as of 2026Q1 highlights a reliance on external financing to fund infrastructure, which appears to be pushing the limits of the company's financial flexibility given the observed interest coverage volatility.
The interest coverage ratio, which dipped to 0.98 in 2026Q1, suggests that the company's ability to service its debt obligations is under pressure. Investors should monitor whether this leverage profile necessitates future equity issuance, which could dilute existing shareholders and impact long-term earnings per share growth.
As indicated by the quarterly cash flow tables, the dividend payout ratio has reached as high as 155.7% in 2025Q4, suggesting that the company is currently funding its dividend distributions through external capital markets rather than internally generated cash flow from its regulated utility operations.
While the 50-year history of dividend increases provides a signal of management's commitment, the current payout levels appear unsustainable without a significant improvement in operating cash flow. The reliance on debt to maintain these payments may eventually conflict with the company's need to fund mandatory PFAS remediation and other infrastructure mandates.
The most commonly misapplied ratio for CWT is the standard P/E multiple, which obscures the impact of non-cash regulatory assets and liabilities that frequently distort reported net income, leading analysts to misinterpret the company's true earnings power and its sensitivity to interest rate cycles.
Instead of relying on P/E, analysts should focus on the Price-to-Rate-Base ratio or adjusted cash flow metrics that strip out the noise of regulatory accounting. Using standard P/E ignores the fact that utility earnings are often a function of regulatory accounting decisions rather than pure operational efficiency, leading to potentially flawed valuation conclusions.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying CWT stock.
California Water Service Group's current P/E ratio is 23.1x. The historical average is 25.6x. This places it at the 43th percentile of its historical range.
California Water Service Group's current EV/EBITDA is 13.9x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.7x.
California Water Service Group's return on equity (ROE) is 7.7%. The historical average is 9.3%.
Based on historical data, California Water Service Group is trading at a P/E of 23.1x. This is at the 43th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
California Water Service Group's current dividend yield is 2.49% with a payout ratio of 57.6%.
California Water Service Group has 36.7% gross margin and 18.2% operating margin. Operating margin between 10-20% is typical for established companies.
California Water Service Group's Debt/EBITDA ratio is 5.0x, indicating high leverage. A ratio above 4x may signal elevated financial risk.